KGBasin

Reliance Industries Ltd., operator of the world’s largest refining complex, increased its share of sales in India to meet growing demand for fuels.

The Mumbai-based energy explorer and refiner sold 20.65 million metric tons of fuels in the South Asian nation in the nine months ended Dec. 31 compared with 8.01 million tons a year earlier, according to Bloomberg calculations based on export figures released by the company today. The numbers were confirmed by a Reliance spokesman, who declined to be identified in line with company policy.

Reliance, which can process 1.24 million barrels of oil a day, increased its share of fuel sales in India as the global recession cut demand for gasoline and diesel in the U.S. and Europe. The company gave up the export-only status of its first refinery in April after completing in December 2008 a 580,000 barrel-a-day refinery that caters to overseas customers.

Domestic sales as a share of output rose to 47 percent in the nine months ended Dec. 31, compared with 33 percent a year earlier, according to data released by the company. Customers include Indian Oil Corp., the largest state-run refiner, which started purchasing diesel and gasoline from Reliance in April.

“Buying fuels from Reliance reduces our costs,” Gyan Chand Daga, marketing director at Indian Oil, said by telephone from Mumbai today. “Demand for fuels is growing and we need to meet that gap.”

India’s oil product sales grew 3.2 percent in November from a year earlier, compared with a 2.7 percent contraction in demand in major industrialized economies, the International Energy Agency said in its latest monthly report.

Retail Outlets

Reliance has reopened more than 600 retail fuel outlets in India, according to today’s statement. The company mothballed its 1,433 gas stations nationwide as crude soared to a record in 2008, unable to compete with state-owned refiners that sold motor fuels below cost.

The revenue loss for state refiners on sales of motor fuels declined after crude fell from a record in July 2008. Indian Oil said in August it lost 2.30 rupees on every liter of diesel sold compared with a shortfall of 13 rupees a liter in September 2008.

The government partly compensates state refiners for selling fuels below cost without extending the benefit to private refiners, including Reliance and Essar Oil Ltd.

Source: http://www.bloomberg.com/apps/news?pid=20601091&sid=auw0zfU5yliU

Unlike 2005, when the country’s private refiners were late in producing Euro-III compliant fuel, this time the private sector has taken a lead, with Reliance Industries Ltd (RIL) becoming the first Indian refinery to produce Euro-IV compliant diesel.

The first cargo of 25,000 tonnes of Euro-IV grade diesel from RIL’s refinery at Jamnagar was shipped by Hindustan Petroleum Corporation Ltd (HPCL) on Friday, said an informed source. This is also the first coastal supply of Euro-IV diesel for the Indian market.

Sources said RIL was also gearing up to produce the higher grade of petrol. With the private refiner now ready to produce the higher grade, it will be easier for oil marketing companies to ensure the availability of Euro-IV diesel at the retail outlets of all 13 major cities of India by April 1, the target date.

An RIL spokesperson confirmed the sale of diesel. He did not give details on total production, citing trade confidentiality reasons.

Indian Oil Corporation, the biggest oil marketer, and Bharat Petroleum Corporation Ltd have recently floated tenders to import 120,000 tonnes and 60,000 tonnes of Euro-IV diesel, respectively.

Government policy calls for petrol and diesel meeting Euro-IV standards are to be supplied in 13 cities, including Delhi, Mumbai, Chennai, Kolkata, Bangalore, Hyderabad and Ahmadabad, from April 1. Euro-III grade fuel is to be supplied across the rest of the country from the same day. The former deadline will be met. Sales of Euro-III will begin in a phased manner between April 1 and October 1.

Source:http://www.business-standard.com/india/news/ril-refinery-first-to-produce-euro-iv-auto-fuel/383580/

As part of the Republic Day Celebrations, all stores in the Reliance Value Format comprising, Reliance Fresh Reliance Super, Reliance Supervalue & Reliance Mart will be hosting a Mega Campaign dubbed as Bachat Badi Faayda Bada, to reach out to our consumers who shop in our stores.

The Mega Consumer Promotion begins on 20th January and ends on 31st. January 2010.

All Categories will be participating in this Mega Promotion with the exceptions of MFT, Fine Jewellery, Tobacco and BWS.

Consumer Promotion Mechanics: Any customer shopping for Rs.100 at any store of Reliance Fresh, Reliance Super, Reliance Mart or Reliance Super Value will get a chance to participate in the contest and she will have an opportunity to win the Mega prize worth Rs 1 Lac each zone [x 6 zones pan India].

Prize:

- Samsung LCD 40BS30

- Onkyo Home Theatre System

All the Customer need to do is spend Rs 100 and answer a simple question – Reliance is the PERFECT INDIAN store because….

The Consumer will complete the statement and fill in details viz. Name, Mobile no. and email address. He/ she then will have to fold the Tag once and drop it into the special drop box in our stores.

Reliance Digital is running the “Rs. 26 Buy-a-dream Offer” from January 23rd – January 31st 2010 at all its stores across India.

About Reliance Digital’s “Rs. 26 Buy-a-dream Offer”:

Reliance Digital in its endeavour to bring the best products to its customers, this republic day offers a unique opportunity to each and every customer to buy their dreams. Reliance Digital invites customers to visit any of its stores in India with just Rs. 26/- and take home LCDs, Mobile Phones, Consumer Durables and a host of Home Appliances from a range of brands. The customer for his favourite dream buy has to just pay a downpayment of Rs. 26/- and avail extremely attractive EMI offers from Reliance Digital to take their dream purchases home

Reliance Trends, the Apparel and Accessories specialty store from Reliance Retail celebrates Republic Day at its outlets across the country with a special Republic Day offer. This offer is valid between Jan 22nd to 26th at all Trends stores across India. On purchase bill of Rs. 1950/, customers get clothes worth Rs. 1950/ FREE!

Notes to Editor

About Reliance Retail Limited

Reliance Retail Limited (RRL), a subsidiary of Reliance Industries Limited opened its first retail store in November 2006 and today operates more than 1,000 stores in over 86 cities, spanning 14 states with over 4.2 million sq ft of trading space. RRL is a multi-format retailer that operates Reliance Fresh – a neighborhood store concept, Reliance Digital – a consumer durables and information technology concept, Reliance Mart – a hyper market concept, Reliance Trends – an apparel specialty concept, Reliance Wellness – a health, wellness & beauty concept , iStore by Reliance Digital- an Apple specialty store concept, Reliance Footprint -a footwear concept, Reliance Jewels – a jewellery concept, Reliance Time-Out- a books, music & entertainment concept, Reliance Super- a Minimart concept, Reliance Living Homeware – a household utilities specialty store concept, Reliance Living Furnishings-a specialty store concept for home furnishings, Reliance Living Furniture-a home office furniture specialty concept, Reliance Home Kitchen- a kitchen’s solution specialty store concept, Reliance AutoZone – an automotive specialty concept and Vision Express-an optical specialty store concept.

Reliance Industries Limited

Reliance Industries Limited (RIL) is India’s largest private sector company on all major financial parameters with a turnover of Rs. 1, 46,328 crore (US$ 28.85 billion), cash profit of Rs 22,365 crore (US$ 4.41 billion), net profit (excluding exceptional income) of Rs. 15,637 crore (US$ 3.02 billion) and net worth of Rs 126,373 crore (US$ 24.92 billion) as of March 31, 2009.

RIL is the first private sector company from India to feature in the Fortune Global 500 list of ‘World’s Largest Corporations’ and ranks 117th amongst the world’s Top 200 companies in terms of profits. RIL ranks 75th in the Financial Times FT Global 500 list of the world’s largest companies. RIL is rated as the 15th ‘Most Innovative Company’ in the World in a survey conducted by the US financial publication-Business Week in collaboration with the Boston Consulting Group.

Source:http://reliance-news.blogspot.com/2010/01/reliance-retail-celebrates-republic-day.html

Reliance Industries and Cairn India will help increase nation’s crude oil output by 11 per cent and natural gas production by 53 per cent in 2009-10, oil regulator Directorate General Hydrocarbons (DGH) said today.

Speaking at an Assocham conference, DGH Director General S K Srivastava said the country’s gas production would double next year when RIL’s KG-D6 fields’ reach peak output.

KG-D6 field is expected to reach peak output of 80 million standard cubic meters per day by mid-2010.

Srivastava, according to an Assocham statement, said oil production from Cairn’s Barmer basin field in Rajasthan is expected to contribute about 18 per cent of the country’s total oil production in near future.

India’s crude oil production has been stagnant around 32 million tons for past few years and output from Barmer and KG-D6 fields would raise nation’s oil production.

“…After stagnant production for over a decade, in 2009 -10 crude oil production is likely to increase by 11 per cent and natural gas by 53 per cent over previous year,” he said.

Cairn’s Rajasthan field is currently producing about 20,000 barrels per day while RIL is pumping out 10,000 bpd from KG-D6.

On the new discoveries, he said increased exploration would result in new discoveries by 2015-16 which would require investment to an extent of USD 25 billion.

He also said that besides conventional oil and gas, the government is actively pursuing other fossil fuel alternatives such as gas hydrates, coal bed methane (CBM) and oil shale.

“The DGH is in the select League of Nations pursuing hard to commercialise gas production from gas Hydrates. Oil share resources are currently under evaluation,” Srivastava added.
He, however, regretted that in 8th round of NELP, the Petroleum Ministry could award only 36 oil and gas blocks out of identified 70 blocks due to adversaries of global turmoil.
“Unfortunately, the Ministry will not be able to offer the unbid 34 blocks to prospective investors in the current fiscal as it requires several inter-governmental approvals which take a good deal of time,” Srivastava said.

He remained non-committal by what time the unbid blocks will be awarded for oil & gas production.
Speaking on the occasion, D M Kale, Director General, ONGC Energy Centre said that his Corporation is spending Rs 10,000 crore annually to arrest 2 per cent decline in crude oil production.

Source:http://oilandgasindia.blogspot.com/2010/01/crude-oil-production-to-go-up-11pc.html

RIL has proposed to invest an additional $1.5 billion in bringing to production four gas discoveries adjoining its prolific gas fields in Krishna-Godavari basin in the country’s east coast.

Reliance  had in July 2008 proposed to develop nine satellite discoveries in the Krishna Godavari basin block at a cost of $5.91 billion, but later narrowed it down to four finds that can be put to production in the next 4-5 years.

The company last week submitted a field development plan (FDP) to the Directorate General of Hydrocarbons (DGH) for the four discoveries that it estimates hold 0.6 trillion cubic feet of recoverable reserves, government sources said.

The sources said, plans to produce 10 million standard cubic meters per day of gas from the four fields for 6 years.

Reliance has till date made 19 discoveries in deep-sea block KG-DWN-98/3 or KG-D6 — 18 gas and one oil. Of these, it developed Dhirubhai-1 and 3 fields in the first phase. The two fields, which began gas production in April last year, hold 10.03 Tcf of reserves.

Reliance Industries has so far invested $5.8 billion out of the estimated $8.836 billion cost of developing D1 and D3 fields over their entire life. The fields are currently producing around 60 mmscmd of gas and envisage a peak output of 80 mmscmd in 2010.
Reliance Industries has invested $2.234 billion in developing the MA oil field in the block that is currently producing about 10,000 barrels of crude oil per day.

Source:http://www.business-standard.com/india/news/reliance-proposes-15-bn-more-investment-in-kg-d6/82191/on